A condition in which the price of a security has risen to a higher point than can be sustained from a technical analysis perspective. A technician will typically expect a stock that is overbought to enter a correction cycle. Compare to oversold.
Browse by Subjects
moving average convergence/divergence (MACD)
See All Related Terms »
other long term capital
American Psychological Association (APA):
Chicago Manual of Style (CMS):
Modern Language Association (MLA):